36" is a bit shy of the recommended spacing, but we have it in our kitchen and haven't had trouble. Doing an L with an island would work very well in your space. Try to get rid of the soffits if possible and go to the ceiling with the cabinets. There also needs to be more space between the sink and range.

My island is movable and I have tried it at 36 inches, but find 42 works much better. You might be happier with a slightly smaller island that is easier to get around. (Mine is 36 x 50) If you have reasonable counter space, you will not need a huge island. Also make sure dishwasher, stove and refrigerator can open without problem.

The present cabinets over peninsula are probably blocking more light than a 12 inch deep pantry.

From a designers point of view there are some basic problems with your present design that could be improved on. Our showroom has three designers and if you asked all three to design your kitchen you would most likely have three total different designs but all three would have the same fundamentals to improve your present kitchen. The following are just some ideas for you to consider:

1. An L-Shape layout lends itself well to your space (better than a U-Shape) and would make the dining area feel like part of one space not two smaller spaces.

2. Remove the bulkheads and either stagger the cabinet height or run the cabinets to the ceiling.

3. I thinks it a bad idea to place the 12" depth pantry to the right of the window it will crowd the space and make the kitchen feel smaller. Instead move the sink to the center of the window. Run your cabinets to the left of the sink window out towards the other window angling them back to the wall using angle end wall and base cabinets.

4. Move the cooking into the new island getting it away from the window. Perhaps angle the island 45 degrees to the L-Shape in order to increase the island length to accommodate the cooking unit(s)

5. Update the lighting, perhaps LED can lights in the ceiling, LED under cabinet lights and pendants over the island.

6. Consider a microwave drawer unit instead of the OTR

7. Find a new home for the dog bowls out of the kitchen.

Just some things to consider, good luck on your new kitchen.